OECD Transfer Pricing Guidelines

The OECD Transfer Pricing Guidelines are a set of international rules created by the Organisation for Economic Co-operation and Development. They help businesses determine fair prices for transactions between different branches or subsidiaries within the same multinational company. The goal is to ensure that profits are allocated fairly across countries, preventing tax avoidance by shifting profits to low-tax jurisdictions. By following these guidelines, companies can comply with tax laws while maintaining transparency in their financial dealings, ultimately contributing to fairer taxation on a global scale.